Cryptocurrency Futures

September 7, 2021

Make buying, selling, and trading cryptocurrency futures easy with Rubix’s industry-leading cryptocurrency exchange platform. Get started by creating your own virtual Rubix Swap Wallet.

What are Cryptocurrency Futures?

Cryptocurrency futures are contracts in which two or more parties agree to either buy or sell a virtual asset at a specified date and for a specified amount. Depending on how much you are willing to buy or sell, crypto futures can be very risky — however, they can also offer high pay-outs if you play your cards right.

Cryptocurrency futures are a form of cryptocurrency derivatives, which is a type of asset derived from a traditional form of cryptocurrency. For instance, a Bitcoin future has a value based on the current value of Bitcoin. Because cryptocurrencies are decentralized, or not maintained by a governmental agency, their values can be volatile. Crypto derivatives like futures can help offset some of that risk by setting a predetermined price point.

How do Crypto Futures Work?

Crypto futures work by letting traders buy and sell assets for a specified amount. For instance, say a certain virtual asset is worth $5,000 USD. If a trader believes that the value is going to increase by the end of the month, they can buy crypto future contracts at the current price. Assuming that they are correct and the value goes up, they will wind up with assets worth more than what they paid for. Alternatively, if they think the value is going to decrease, they can sell future contracts at the current higher value.

Essentially, crypto futures are a way for confident investors to earn money off of their predictions.

Where can I Trade Cryptocurrency Futures?

There’s no doubt that cryptocurrencies have unpredictable values — as of April 2021, the value of one Bitcoin is estimated to be over $60,000 USD. Thus, it’s important to make sure your crypto assets are secured against external threats such as cyber-hackers.

Rubix is a virtual cryptocurrency exchange platform that protects its users through encryption and a multi-security system. After uploading a payment method of their choice, users can easily buy, sell and trade assets and secure them in their very own crypto wallet. Get started in the cryptocurrency future trade by signing up for Rubix today.

Cryptocurrency futures FAQs

What is a Cryptocurrency Futures Contract?

A crypto futures contract is a mutual agreement made between two or more parties. The contract will outline the price at which the asset will be bought or sold, as well as the time line.

What are Bitcoin Futures?

Bitcoin futures are contracts that let investors speculate on the future price of Bitcoin and potentially earn money off of their speculations. They provide a way to get involved in the Bitcoin exchange without having to own actual Bitcoin.

Do Crypto Futures Expire?

Crypto future contracts have predetermined expiration dates, or deadlines. The purchase or sale of the cryptocurrency must occur on the agreed-upon date.

How Much are Crypto Future Fees?

Crypto futures are standardized agreements that are conducted through an exchange (unlike over-the-counter agreements, which are conducted privately). While they’re more secure than OTC agreements, they may also come with fees. These fees may fluctuate depending on the platform you use — generally, they tend to be fairly minimal.

What Volume is Cryptocurrency Futures Trading at?

In recent years, the trading of cryptocurrency futures has skyrocketed in popularity. In December of 2020, the trading volume reached over $1 billion USD, increasing from approximately $280 billion in December 2019.

Get Started

Thanks to the convenience of the internet, the cryptocurrency exchange is accessible to nearly anyone. Rubix gives users a simple, speedy and secure platform for buying, selling and exchanging cryptocurrencies. Get started with crypto derivative exchanges by signing up for Rubix and creating your own virtual crypto wallet.